Canada's Aecon beats Q1 revenue estimates

Aecon

28/04/2026 21:44

Overview

Canada construction and infrastructure firm's Q1 revenue rose 18% yr/yr, beating analyst expectations

Adjusted EBITDA margin for Q1 improved to 2.5% from 0.3% yr/yr

Company completed two acquisitions and closed a C$172.5 mln equity offering in Q1

Outlook

Aecon expects 2026 revenue to exceed 2025 levels

Company anticipates improved profitability as legacy fixed price projects are completed in H1 2026

Aecon expects 2026 capital expenditures to exceed 2025 levels

Result Drivers

NUCLEAR AND UTILITIES GROWTH - Revenue increase driven by higher volume of refurbishment, new build, and engineering services at nuclear generating stations, and increased electrical transmission and distribution work in Canada and the U.S.

ACQUISITIONS - Recent acquisitions in utilities and industrial sectors contributed to revenue growth and higher personnel costs

MARGIN IMPROVEMENT - Higher gross profit and improved margins in civil operations and urban transportation solutions supported operating results

Company press release: ID:nGNXbhTmH4

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
C$1.26 bln
C$1.13 bln (9 Analysts)
Q1 EPS
-C$0.28
Q1 Adjusted EBITDA Margin
2.50%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the construction & engineering peer group is "buy."

Wall Street's median 12-month price target for Aecon Group Inc is C$45.00, about 8.4% below its April 27 closing price of C$49.13

The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 19 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)